The invention discloses an external medicine for treating gall caused by gout, rheumatism and rheumatoid arthritis and a preparation method thereof. The external medicine comprises the following medicinal raw materials in the optimum mass ratio: 90g of radix aconiti kusenzoffii, 90g of radix aconite, 90g of nux vomica, 90g of thunder god vine, 80g of notopterygium root, 80g of radix angelicae pubescentis, 60g of ephedra, 80g of cassia twig, 60g of asarum produced from Liaoning Province, 90g of radix clematidis, 80g of rhizoma atractylodis, 80g of phellodendron chinense schneid, 60g of pepper, 80g of short-pedicel aconite root, 80g of angelica, 90g of ligusticum wallichii, 60g of pedate pinallia jackinthepulpit rhizome, 80g of fructus broussonetiae, 60g of scorpion, 40g of centipede, 80g of ground beetle, 80g of frankincense, 80g of myrrh, 90g of medicinal cyathula root and 80g of borneol. The invention discloses a preparation method of an external tincture for treating gall caused by gout and rheumatism and rheumatoid arthritis, wherein the preparation method comprises technological processes of weighing on the medicinal raw materials according to the optimum mass ratio, putting into a container, soaking in alcohol, filtering, processing dregs, precipitating and bottling. The external medicine disclosed by the invention is obvious in efficacy, and the effective ratio of relieving swelling and pain is high up to 95%; and the external medicine is free from drug dependence, convenient to carry and use, low in cost and simple in production process.